Thanks for all your help.
Hmm, I remember talking to and being attacked by the acorn holding dwarf, but after the battle I could find no trace of him anywhere... The only odd thing I did was cast some kind of entanglement spell with Jaheira, and that ended up almost getting a few of my party killed- I wasn't very smart on that one. So as soon as I got out of the entanglement, I ran, leaving the remaining bad guys alone. Then I rested, and when I returned no one was there. I ended up just starting from an earlier saved game, no biggie really. And this time I did get the acorns.